An internal auditor for a financial institution has just completed an audit of loan processing. Of the 81 loans approved by the loan committee, the auditor found seven loans which exceeded the approved amount. Which of the following actions would be inappropriate on the part of the auditor?
The correct answer is B. An internal auditor should not simply report the amounts to the loan committee and leave it up to them to correct without taking further follow-up action or including the findings in the engagement final communication. Effective auditing practices require ensuring that identified issues are addressed and communicated properly to relevant stakeholders, including documenting them in the final audit report for transparency and accountability.
Question is asking for the inappropriate action - B. Report the amounts to the loan committee and leave it up to them to correct. Take no further follow-up action at this time and do not include the items in the engagement final communication. - the result should be included in the final engagement communication
B seems like the wrong answeer
Answer D is incomplete. And I think there is also some incompleteness in the question, please make exact it.
This is taken directly from GLEIM materials
B is the most appropriate ans. becz when 7 cases have exceeded approved limit auditor cannot leave this
Agree. The question is incomplete and the answer seems wrorg. It should be discarded